TRAI had recommended making mobile TV licenses mandatory for mobile tv

By Vineet at April 19, 2010 | 12:54 am | Print

Mobile tv would be one of the most lucrative options for many telecoms companies to make money in coming future.As most of new technologies innovations are happening just around mobile, Indian government has seen potential in mobile market and charted out guidelines for those who wish to offer mobile tv.

TRAI had recommended making mobile TV licenses mandatory for any telecom licensee if it wishes to use broadcasting technologies to offer mobile TV. For the mobile TV license, eligible telecom licensees should participate in a bidding process.

I&B said there are several issues related to creating a level playing field between telcos and broadcasters that need to be taken into consideration.

TRAI said that the tenure should automatically be extended for a further period of 10 years with a payment of 100 per cent of the latest one time entry fee (OTEF).

I&B said that the recommendation on tenure is acceptable but renewing the license is not in the interest of the government and a decision can be made as and when the need arises.

TRAI recommended that the license fee should be charged at four per cent of gross revenue for each year or at ten per cent of the reserve OTEF limit for the concerned license area, whichever is higher.

The ministry said that since mobile TV is at a nascent stage in India and has not generated good revenue abroad, the license fee at ten per cent of reserve OTEF is high. License fee will be four per cent of gross revenue or five per cent of reserve OTEF, whichever is higher.Via-TY

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